Parksons offers a range of products to over 300 customers across consumer, food, pharmaceutical and other end-markets
Warburg Pincus has purchased majority interest in Parksons Packaging. (Credit: Gerd Altmann from Pixabay)
Warburg Pincus affiliate Green Fin Investments has purchased a majority interest in Indian folding carton manufacturer Parksons Packaging for an undisclosed sum.
Established in 1996, Parksons offers a range of products to more than 300 customers across consumer, food, pharmaceutical and other end-markets.
With six manufacturing facilities across India, Parksons can convert over 125,000MT of paper board per annum.
The company mainly focuses on the development of cost-effective packaging solutions at its manufacturing plants located across Daman, Chakan, Pantnagar, Guwahati and Sricity.
Under the deal, existing private equity investors Kedaara Capital AIF 1 and Olza Holdings Limited and IIFL have completely divested their stake in Parksons, while the Kejriwal family has divested a partial stake.
Parksons managing director Siddharth Kejriwal said: “We have had a strong collaborative relationship with Kedaara in our growth journey over the past six years and now we are excited to partner with Warburg Pincus in our next phase of growth.”
Ramesh Kejriwal, Siddharth Kejriwal and Chaitanya Kejriwal will continue in their current positions as chairman, managing director and joint managing director, respectively.
Warburg Pincus India head and managing director Vishal Mahadevia said: “We believe that packaging is a great way to play the fast-growing consumption story in India.
“The paper packaging market is expected to demonstrate strong growth over the next five years, driven by underlying expansion in consumer end markets, further bolstered by secular tailwinds of sustainability and premiumisation.”
Credit Suisse served as the exclusive financial advisor to the sellers and its affiliates.
In June 2019, Warburg Pincus agreed to buy Pregis, a provider of protective packaging materials, from Olympus Partners for an undisclosed amount.